Operating a Profitable Restaurant – Episode 2
During today’s podcast episode, we are going to discuss some strategies for effective restaurant cash management. First, we will review the simple rules on how to manage an investment of initial capital as well as working capital. Second, we are going to review the ongoing cash management strategies for building your own treasure chest.
Below, you will find some highlights from this episode! If you want to learn more about any of these points, then tune in and listen up! We’ll go through each point in depth in relation to your business.
How to effectively manage an initial investment or infusion of loot in your business:
- Know the impact the payment of debt will have on the business cash position
- Don’t be afraid of the dark
- Don’t sell your soul
- Unrealistic Trade Programs
- Overpromising ROI
- Marketing and Deal of the Day Companies, Hard Money Lenders
Ongoing cash management strategies for building your own treasure chest:
- A budget and break-even analysis are mandatory tools for effectively managing cash
- Know your operational days of the week in relation to your cash flow
Want to know more? Check out our blogs covering the different aspects of cash management, and the value created for your restaurant using the Decision Making Triangle.